FX Market Commentary 1/2/2015

FX – EURO

THE EURO closed lower on Wednesday as it extends last year's decline. The lowrange close sets the stage for a steady to lower opening when Friday's night session begins trading. Stochastics and the RSI are oversold but remain neutral to bearish signalling that sideways to lower prices are possible nearterm. If it extends last year's decline, monthly support crossing is the next downside target. Closes above the 20day moving average crossing would confirm that a shortterm low has been posted.

FX – YEN

THE YEN closed higher on Wednesday as it extended some of Tuesday's rally. The highrange close sets the stage for a steady to higher opening when Friday's night session begins trading. Stochastics and the RSI remain neutral to bullish signalling that sideways to higher prices are possible nearterm. Closes below Tuesday's low crossing are needed to confirm that a high has been posted. If it renews last year's rally, weekly resistance crossing is the next upside target.

FX - SWISS FRANC

THE SWISS FRANC closed higher on Wednesday as it extends last year's rally. The highrange close sets the stage for a steady to higher opening when Friday's night session begins trading. Stochastics and the RSI remain bullish signalling that sideways to higher prices are possible nearterm. If it extends last year's rally, monthly resistance crossing is the next upside target. Closes below the 20day moving average crossing are needed to confirm that a high has been posted.

FX – STERLING

STERLING closed higher on Wednesday. The midrange close sets the stage for a steady opening when Friday's night session begins trading. Stochastics and the RSI are turning neutral to bullish signalling that sideways to higher prices are possible nearterm. Closes above the 20day moving average crossing are needed to confirm that a low has been posted. If it extends the decline off July's high, monthly support crossing is the next downside target.